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The view of the Panama Canal from a lock

The history of the Panama Canal

A history of the Panama Canal, broken down by centuries

Published on 15 May 2025


The Panama Canal is one of the world’s most remarkable engineering feats. The canal connects the Atlantic and Pacific Oceans and has transformed global trade and travel. Its history spans centuries of ambition, struggle, and innovation. 

For those considering a Panama Canal cruise, understanding its fascinating journey through time adds a deeper dimension to the voyage. Let’s explore the canal’s story, broken down by centuries:

16th Century

The idea of a shortcut between the Atlantic and Pacific Oceans dates back to the 16th century, when explorers first realised the immense challenge posed by the long and treacherous journey around South America. 

In 1513, Spanish explorer Vasco Núñez de Balboa became the first European to see the Pacific Ocean from the Isthmus of Panama. His discovery inspired dreams of creating a canal to facilitate faster trade and exploration, but technological and financial limitations prevented any serious progress. 

The idea would be shelved for centuries, but it was clear that the region held potential for a vital maritime link. 

19th Century

By the 19th century, global trade was expanding rapidly, and the concept of a Panama Canal was again revived, this time driven by the Industrial Revolution and advances in engineering. 

In 1825, the idea was once again explored in earnest by the French engineer Ferdinand de Lesseps, who had successfully overseen the construction of the Suez Canal in Egypt. 

Lesseps and his team began efforts to construct a canal across Panama in the 1880s. Still, their work was plagued by financial difficulties and, more tragically, outbreaks of disease like malaria and yellow fever, which claimed the lives of thousands of workers. 

The French abandoned the project in 1889, but the dream was far from over. 

20th Century

The 20th century marked a turning point for the Panama Canal, beginning with the United States’ involvement. 

In 1903, following the Spanish-American War and the signing of the Hay-Bunau-Varilla Treaty, the U.S. gained control over the Panama Canal Zone. President Theodore Roosevelt, a key supporter of the canal’s construction, initiated efforts to complete the project. 

Under American leadership, the canal’s construction began in earnest in 1904. The U.S. took bold steps to combat the diseases that had once stymied progress, notably through the efforts of Dr. William Gorgas, who eliminated yellow fever and reduced malaria outbreaks by controlling the mosquito population. 

The massive construction project, which involved over 40,000 workers, overcame immense logistical challenges, including the creation of the immense locks that would raise and lower ships through the canal’s varying elevations. 

After ten years of hard work, the Panama Canal was officially opened on the 15th of August, 1914, dramatically shortening the maritime route between the east and west coasts of the Americas. The completion of the canal opened up new possibilities for global shipping, trade and travel, allowing vessels to bypass the long and dangerous Cape Horn route around South America. 

21st Century

In the 21st century, the Panama Canal continues to evolve. Most notably, the completion of the Third Set of Locks in 2016 expanded the canal’s capacity to accommodate larger vessels, known as Panamax ships. 

This monumental expansion ensures that the canal remains a crucial link in global trade. The expansion also plays a key role in Panama Canal cruises, as larger ships can now navigate the waterway more efficiently. 

Today, a cruise through the Panama Canal offers travellers a chance to witness the remarkable feat of engineering up close. 

Modern cruise ships, many of which are specifically designed to fit within the canal’s new lock system, take passengers on breathtaking journeys through the canal’s intricate passages. The itineraries, which typically last between 10 and 15 days, depending on whether you choose a full transit or a partial one, explore scenic spots like Gatun Lake and tropical ports of call along the way. 

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